When you sit down to write a business plan, it’s easy to assume the first page you write will be the first page people read. While that’s technically true, a successful executive summary is not the starting point of your writing process. It’s the very last piece you create—a powerful, one-page snapshot that encapsulates your entire business plan and serves as the most important communication tool you have.
Think of it this way: The executive summary is the final piece of the puzzle, painstakingly crafted once all the other parts of your plan are in place. It takes the key bullet points and core concepts from each section—from your marketing strategy to your financial projections—and presents them in a clear, concise format.
The “Who, What, When, Where, and Why” of Your Business
A great executive summary answers the most critical questions about your business in a single glance. It’s designed to give the reader everything they need to know to understand the essence of your company, its mission, and its potential.
What is the company? Start with a clear and compelling description of your business. What industry are you in, and what is the core problem you are solving?
What are your products and services? Briefly describe what you offer. Are you selling a physical product, a software solution, or a professional service? What makes it unique or different from what’s already on the market?
Where are you located? Mention the physical or virtual location of your business. This is crucial for brick-and-mortar operations or for outlining your service area.
Who is involved? Introduce the key players on your team. Briefly highlight the experience and expertise of the founders or primary personnel. This builds credibility and shows that your business is in capable hands.
Why is this a good business? This is your opportunity to communicate your vision and the market need. You’ll also include the most important financial data, such as estimated income and expenses, to provide a high-level overview of your business’s financial health and potential.
The Power of a Single Page
An executive summary should ideally be one page long. This forces you to be succinct and to focus only on the most important information. This brevity is a feature, not a limitation. In a world of short attention spans, a single page is often the only thing a busy investor, bank loan officer, or potential partner will read. It must be compelling enough to make them want to dive into the rest of the plan.
A well-crafted executive summary is the most useful tool you can have for communicating about your business. It serves as:
- Your Elevator Pitch: A document you can hand to someone to explain your business in a minute or less.
- An Introduction for Investors: It’s often the first thing a venture capitalist or angel investor will look at.
- A Guide for Partners: It helps potential partners quickly understand your mission and how they might fit in.
- A Tool for Internal Alignment: It ensures that everyone on your team is on the same page about the company’s core goals and vision.
In the end, the executive summary is a testament to the clarity and viability of your entire business plan. It’s the final step that brings all the pieces together and presents them in a way that is both persuasive and easy to understand.